Private Placement Data Insights: Days on Market and Capital Raise

2019 was a record year for private placements on the AI Insight platform. Our December Private Placement Industry Report showed we added 200 new private placements to our coverage with an average target raise of $58.5 million, led by 1031s, opportunity zones and non-1031 real estate funds. We also reported that 158 private placements closed in 2019, having raised approximately 85% of their target.

We recently analyzed the private placements on our platform that have closed to new investors since we started reporting in 2009 for a few statistics: (i) how long was the average fund within each category on the market (days on market), (ii) what was the average and range of capital raise targets and (iii) how close did the average fund come to meeting its capital raise target.

Overall, there are 987 funds on our platform that have closed to new investors since we started tracking data in 2009. The average target raise was $43.8 million, ranging from $800,000 to $4.1 billion. The average fund was on the market for 347 days and raised approximately 76% of its target.

Following is a closer look at some of the primary private placement categories. We report these and other statistics in our industry reports.

Private Real Estate

256 funds

Real estate and real estate related securities

LPs and LLCs

Excludes 1031 exchanges and opportunity zone funds

Target raise range per fund: $800k to $535 million

Average days on market: 391

Average raise as a percent of target

Up to $25 million: 4%

$25 million to $50 million: 3%

$50 million and up: 4%

1031 Exchanges

442 funds

427 Delaware Statutory Trusts (DSTs) / 15 Tenant-in-Common (TICs)

Target raise range per fund: $995k to $138.2 million

Average days on market: 210

Average raise as a percent of target

Up to $25 million: 6%

$25 million to $50 million: 6%

$50 million and up: 100%

Energy

126 funds

LPs and LLCs

Target raise range per fund: $3.5 million to $300 million

Average days on market: 313

Average raise as a percent of target: 8%

Opportunity Zones

This is a new category with only five funds on our platform that have closed to date and we currently cover 15 additional funds.